US: Alternative asset management firm TPG has completed the purchase of Hospitality Solutions, the technology platform formerly under Sabre.
Hospitality Solutions will operate as a standalone company through TPG Capital, the firm’s US and European private equity platform.
The deal, first announced in April, builds on TPG’s previous tech investments in companies such as Boomi, Elite, Everfox, McAfee, and Wind River.
Sabre expects to use the $960 million in net proceeds to pay down debt and focus on its core business.
“This divestiture positions Sabre to focus on our core airline IT and travel marketplace platforms,” said Kurt Ekert, president and CEO of Sabre Corporation. “We are confident that TPG’s investment approach and expertise will drive significant value to all of Hospitality Solutions’ customers.”
SynXis, which Sabre purchased in 2005, forms the core component of Hospitality Solutions. Today, the platform is said to support more than 40 per cent of global hotel brands.
Teresa Mackintosh has been appointed CEO of Hospitality Solutions. She most recently served as CEO and then executive chair of Trintech, a global enterprise SaaS company.
“The hospitality industry is embarking on a long-overdue digital transformation, driven by hotels’ growing reliance on technology to deliver seamless and personalised guest experiences,” said Mackintosh. “Hospitality Solutions is leading this evolution with a suite of purpose-built tools that empower hotels to thrive in a tech-enabled era.
“It’s a privilege to join the team at this exciting moment in the company’s history, and I look forward to working together to provide dynamic solutions that allow our customers to focus on what matters most: their guests,” she added.
Tim Millikin and Paul Hackwell, partners at TPG, said: “Hospitality Solutions is the critical bridge between hotels and the information needed to operate efficiently and deliver tailored experiences. Teresa’s growth mindset, collaborative approach, and unique ability to drive organisational and customer-facing innovation makes her the perfect leader to take the company to its next level. We’re thrilled to partner with MCR to support the team as they continue to shape the future of hospitality technology.”
Highlights:
• TPG acquires Sabre’s Hospitality Solutions for $1.1 billion.
• It will operate as a standalone tech company under the leadership of Teresa Mackintosh as CEO.
• Sabre expects to net $960 million, focusing its strategy on airline and travel marketplace platforms.
